Sunday, February 6, 2011


After graduating Columbia University, Buffett returned to Omaha where he had a short traineeship at his father‟s brokerage firm. During this time he didn‟t cut his contacts with Graham but on the contrary, informing him for various investments he made and discussing common topics of interest. Graham was generous with his time and thoughts and this relationship between a professor and a former student eventually brought them working under the same roof. In 1954 responding to a invitation of Graham, Warren Buffett ended up as a security analyst at Graham-Newton Corporation. These two years working side-by-side with Graham and the other analysts analyzing hundreds of companies proved decisive for the future successive investment style of Buffett.
Apart from Buffett, Graham employed several other bright youngsters coming from various fields of study and backgrounds. What unified them all was their common understanding of the value investing approach and the willingness to apply it unconditionally. Among them were Walter Schloss manager of WSJ Ltd Partners, Tom Knap, founding partner of Tweedy, Browne Partnerships, and the founder of Sequoia Fund Bill Ruane. All of them became very successful investors in their careers after the liquidation of Graham-Newman which proves the fact that the success of Buffett was not just a pure miracle but grounded to a big extent in his adopted investing methods.

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